NOx Trading Programs
All NOx trading programs have the same goal: reduce the transport of ground-level ozone across large distances.
However, the programs have developed through different mechanisms, which has led to differences in the number of states involved, the timing of the compliance period each year, and the expected reductions. For more information on the NOx trading programs, visit:
This program was implemented from 1999 through 2002, and has since been replaced by the NOx Budget Trading Program under “the NOx SIP Call.”
In 2003, EPA began to administer the NOx Budget Trading Program under the “NOx SIP Call.” This market-based cap and trade program is still being implemented today.
The following table summarizes the key differences between the NOx trading programs:
|
Ozone Transport Commission (OTC) NOx Budget Program |
NOx State Implementation Plan (SIP) Call |
---|---|---|
States Covered |
CT, DC, DE, MA, MD, ME, NH, NJ, NY, PA, RI, VT |
Phase 1 : AL, CT, DC, DE, IL, IN, KY, MA, MD, MI, NC, NJ, NY, OH, PA, RI, SC, TN, VA, WV; Phase 2 : GA, MO |
Compliance Period |
May 1 - September 30 of each year |
May 1 - September 30 of each year |
Initial Compliance Year |
1999 |
Phase 1: 2003/2004; Phase 2: 2007 |
Emissions Cap |
219,000 tons in 1999; |
|
Baseline Year |
1990 |
1995 |
Baseline Emissions |
490,000 tons |
|
Program Owner |
OTC; Allowances set by OTC, Program administered by EPA |
States and EPA; States have the option of participating in the trading program and establishing unit allocations, Program administered by EPA |